Singapore banks stopped issuing new SGD corporate cheque books by 31 December 2025, and they will stop processing SGD corporate cheques altogether after 31 December 2026. From 1 January 2027, a cheque drawn by a company or other business in Singapore dollars will not be cleared, whenever it was written. Companies should deposit every corporate cheque they hold well before the deadline, stop issuing cheques, move suppliers, landlords and staff to PayNow, FAST, GIRO or the new Electronic Deferred Payment (EDP), and update their bank mandates, payment terms and month-end reconciliations.
Raffles Corporate Services works with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice. This article is general information only and is not legal advice.
This guide is for owners, directors and finance staff of Singapore companies. It covers what has been confirmed by the Monetary Authority of Singapore (MAS), which payment method replaces each common use of cheques, the controls to put around electronic payments, and the bookkeeping clean-up needed before year end.
What exactly is ending, and when?
MAS and the Association of Banks in Singapore announced the timeline in December 2024, extending an earlier end-2025 deadline by one year (MAS media release, 5 December 2024). MAS’s July 2025 response to the public consultation confirmed that all banks will stop processing SGD corporate cheques from 1 January 2027.
| Date | What happens |
|---|---|
| By 31 December 2025 | Banks stopped issuing new cheque books to corporates. Existing corporate cheques could still be written during 2026. |
| July 2025 | EDP and EDP+ launched through the seven domestic systemically important banks. |
| 31 December 2026 | Last day for SGD corporate cheques to be processed. Payees should present them well before this date. |
| From 1 January 2027 | Banks will not process SGD corporate cheques. |
MAS describes corporate cheques as cheques issued by body corporates, entities or businesses. Retail cheques issued by individuals, cashier’s orders and USD cheques remain available for now. Sole proprietors writing cheques from a business account should confirm with their bank how their cheques are classified.
Individual banks set their own deposit cut-off times on 31 December 2026, and some have announced a morning cut-off. Do not plan to deposit cheques on the last afternoon of the year.
Which payment method replaces each use of a cheque?
| Where you used a cheque | Replacement | Point to note |
|---|---|---|
| Paying supplier invoices | PayNow Corporate (to UEN) or FAST | Funds arrive immediately; verify bank details before the first payment |
| Post-dated cheques for rent, instalments or deposits | EDP, or a standing GIRO arrangement | EDP is debited only when the payee presents it on the date set |
| Payment needing certainty, such as a property or tender deposit | EDP+ or cashier’s order | EDP+ is debited from your account immediately on issue, like a cashier’s order |
| IRAS and CPF payments | GIRO or PayNow QR | See our guide to GIRO for IRAS and CPF payments |
| Salaries and staff claims | GIRO payroll or bulk FAST | Set up as a batch with an approver |
| Large or urgent amounts | PayNow Corporate or your bank’s high-value transfer service | Check your bank’s limits in advance |
MAS notes that PayNow-FAST transfers are capped at S$200,000 per transaction, that companies can use PayNow Corporate for higher-value transfers, and that each bank may set lower limits of its own. EDP and EDP+ run on the GIRO infrastructure and are subject to GIRO’s transaction limits. If a single payment is above your current limit, speak to your bank before the payment is due. Our guide to PayNow Corporate and UEN payments explains registration and receipt matching.
How is EDP different from a post-dated cheque?
EDP was designed to replace post-dated cheques, and it works in a similar way in practice. The payer issues it through digital banking, finds the payee by PayNow proxy (such as a UEN) or account number, and both sides receive notifications at issue, presentment, expiry and cancellation. Most participating banks waived issuance fees at launch.
The legal position is different. MAS has confirmed that EDP is not an electronic cheque or bill of exchange and is not governed by the Bills of Exchange Act 1949. With a dishonoured cheque, the payee can sue on the cheque itself. With a failed or cancelled EDP, the payee relies on the underlying contract (MAS response to feedback, July 2025). Either the payer or the payee can cancel an EDP before presentment.
If your business has relied on post-dated cheques as security from customers or tenants, the contract now matters more. Make sure your terms clearly state the amounts, due dates, interest on late payment and what happens if a scheduled payment is cancelled. Where you need certainty, ask for EDP+, a cashier’s order or a deposit instead.
What if a customer has given you a cheque that has not cleared?
- List every corporate cheque you hold, including post-dated cheques dated in late 2026 or 2027.
- Deposit them now. A cheque dated after 31 December 2026 cannot be cleared at all, so contact the customer to replace it with an electronic payment or an EDP.
- Act quickly on any cheque that bounces. Your claim on the cheque and the invoice does not end with the phase-out, but notice of dishonour must still be given promptly. Our guide to recovering money on a bounced cheque explains the steps.
- Remember that the debt survives. If a customer’s cheque cannot be presented in time, the customer still owes the invoice. Ask for an alternative payment in writing.
Which internal controls should replace cheque signing?
For many small companies, the requirement for two directors to sign a cheque was their main control over outgoing money. Electronic payments need an equivalent.
- Maker-checker in digital banking. One user creates a payment and a different user approves it. Most business banking platforms support this; set it up for every user.
- Approval thresholds. Payments above an amount set by the board need a second approver, mirroring the old dual-signature rule.
- Update the bank mandate. The board resolution that named cheque signatories should now cover digital banking users, approval roles and limits. Remove anyone who has left the company.
- Verify new payees and changed bank details by calling a known number, not by replying to an email. Our article on invoice fraud and changed supplier bank details explains why.
- Keep duties separate. The person who records supplier invoices should not be the only approver of payments. Our guide to segregation of duties on a budget shows how to do this with a small team.
What changes in your bookkeeping and bank reconciliation?
The phase-out needs a clean-up in the accounts before year end, particularly for companies with a 31 December year end.
- Unpresented company cheques. Review the list of cheques your company has issued that have not been cleared. Any SGD corporate cheque still uncleared after 31 December 2026 cannot be paid by the bank. Reverse the payment entry, reinstate the amount owed to the supplier, and pay it electronically.
- Deposits in transit. Cheques received but not cleared at year end should be cleared or reversed. Do not carry them into 2027 as cash.
- Payment references. Electronic receipts are matched by reference rather than cheque number. Ask customers to quote your invoice number, and set up PayNow and GIRO references so reconciliation can be partly automated.
- Unused cheques. Record the serial numbers of unused corporate cheques and dispose of them securely after the deadline, following your bank’s instructions.
- Invoices, contracts and websites. Remove “cheques payable to” wording and replace it with your UEN for PayNow, your bank details and EDP instructions where relevant.
Example: A hypothetical renovation contractor still holds three post-dated corporate cheques from a client dated January to March 2027 and has issued two cheques to suppliers that were not presented. In November 2026, it asks the client to replace the three cheques with EDPs on the same dates, confirms the client’s revised payment schedule in writing, and pays the two suppliers by PayNow Corporate after stopping the old cheques with its bank and reversing the entries in its books.
Frequently asked questions
Can my company still write a cheque in November or December 2026?
Existing corporate cheques can still be written during 2026, but the payee must be able to deposit it in time for processing by 31 December 2026. In practice, use an electronic payment.
Can individuals still pay my company by cheque after 2026?
MAS has said retail cheques issued by individuals will continue to be available. MAS has also said they will be processed on a new, smaller clearing system from 2027, so clearing may take longer than it does now.
Will cashier’s orders still be available?
Yes. MAS has said cashier’s orders and USD cheques remain available to both corporate and retail customers. EDP+ is the electronic alternative to a cashier’s order.
Can our landlord still demand post-dated cheques for rent?
Not SGD corporate cheques that fall due after 2026, because they cannot be cleared. Agree a GIRO arrangement or EDP instead, and record the change in writing alongside the lease.
Is an EDP as safe for a payee as a cheque?
It gives notifications and a clear audit trail, but it can be cancelled before presentment and is not a bill of exchange. Where you need certainty of funds, ask for EDP+ or a cashier’s order.
Need help moving your company off cheques?
Raffles Corporate Services can review your outstanding issued and received cheques, adjust your ledgers and bank reconciliations before the year end, prepare the board resolution updating your bank mandate and authorised users, and set up payment approval steps that fit your team. Email us at [email protected] or WhatsApp +65 8501 7133.
Kevin Yeo, Raffles Corporate Services